Dish Network 2001 Annual Report Download - page 105

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ECHOSTAR COMMUNICATIONS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – Continued
F–40
Geographic Information (in thousands) and Transaction with Major Customers
United States Europe Total
1999
Total revenue ...................................... $ 1,579,992 $ 22,849 $ 1,602,841
Long-lived assets ................................. 2,059,242 3,099 2,062,341
2000
Total revenue ...................................... $ 2,667,133 $ 48,087 $ 2,715,220
Long-lived assets ................................. 2,217,741 3,546 2,221,287
2001
Total revenue ...................................... $ 3,903,607 $ 97,531 $ 4,001,138
Long-lived assets ................................. 2,595,542 4,879 2,600,421
Revenues are attributed to geographic regions based upon the location from which the sale originated. United
States revenue includes transactions made to both United States and International customers. Europe revenue includes
transactions made customers in Europe, Africa and the Middle East. During the years ended December 31, 1999, 2000
and 2001, United States revenue included export sales to two international customers which totaled $126 million, $187
million and $176 million, respectively. These international sales accounted for approximately 8%, 7% and 4% of
EchoStar’s total revenue during each of the three years ended December 31, 2001, respectively. Revenues from these
customers are included within the EchoStar Technologies Corporation business unit.
11. Summary Financial Information of Equity Method Investee
EchoStar originally invested $50 million in StarBand Communications Inc. in April 2000. Effective
September 27, 2001, EchoStar invested an additional $50 million in StarBand, increasing its equity interest from
approximately 19% to approximately 32%. As a result of the increased equity stake, this investment is now accounted
for using the equity method of accounting. As required by APB Opinion No. 18, the equity method accounting was
retroactively applied back to April 2000, the date of EchoStar’s original investment in StarBand.
Summarized financial information for StarBand has been derived from StarBand’s audited financial
statements as of and for the years ended December 31, 2000 and 2001, which were audited by other auditors (whose
reports expressed substantial doubt regarding StarBand’s ability to continue as a going concern) and is as follows (in
thousands):
Period from
January 11, 2000
(inception) through
December 31, 2000
As of December
31, 2001
Balance Sheet Data:
Current assets ................................................................. $ 104,251 $ 35,738
Noncurrent assets............................................................ 113,327 33,567
Current liabilities ............................................................ 82,230 114,869
Noncurrent liabilities....................................................... 142,165 109,482
Mandatorily redeemable convertible preferred stock.......... 153,426 238,394
Year Ended December 31,
2000 2001
Statement of Operations Data:
Total revenues ................................................................ $ 394 $ 36,630
Total operating expenses ................................................. 140,019 231,486
Net loss .......................................................................... (139,531) (205,553)